If at full employment the government wants to increase its spending by $100 billion without increasing inflation in the short run, it must do which of the following?
A) Raise taxes by more than $100 billion
B) Raise taxes by $100 billion
C) Raise taxes by less than $100 billion
D) Lower taxes by $100 billion
E) Lower taxes by less than $100 billion
Answer: A) Raise taxes by more than $100 billion
Economics
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The table above lists the market shares of the twenty makers of personal computers. Based upon the Herfindahl-Hirschman Index for this industry, the Justice Department would
A) regard the industry as highly concentrated. B) be against any two firms merging. C) consider the market oligopolistic. D) regard the industry as competitive.
Economics
The Producer Price Index (PPI) is the best index to measure average price changes faced by
A. Producers. B. Consumers. C. Importers. D. Labor unions negotiating COLAs.
Economics